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12. Authority. Sublessor and Subtenant each warrant and represent to the other that they have obtained <br />all requisite authority to enter into this Sublease and the parties executing this Sublease on their behalf <br />have the requisite authority to bind such party. <br />13. Quiet Enioyment. Sublessor covenants and agrees, provided Subtenant pays all Rent and <br />Additional Rent and any other charges set forth herein and performs the terms and conditions of this <br />Sublease as and when required (within any applicable cure period), to take all necessary steps to <br />maintain for the benefit of Subtenant the quiet and peaceful possession and enjoyment of the Premises <br />without disturbance by Sublessor or any other person claiming title or possession to the Premises or the <br />Building or any part thereof through Sublessor. <br />14. Subtenant's Insurance. At all times during the Term of this Lease and any renewals thereof <br />Subtenant shall provide and thereafter keep in full force and effect: (i) commercial general liability <br />insurance, such insurance to insure against liability for bodily injury and death and for property damage <br />in an amount as may from time to time be reasonably required by Sublessor, but in any event not less <br />than $1,000,000.00 combined single limit on a per occurrence basis. (ii) workmen's compensation as <br />required by law, providing as a minimum amount, the minimum North Carolina statutory benefits for all <br />persons employed by Subtenant in connection with the Premises; and (iii) builder's risk insurance during <br />all periods in which Subtenant is constructing alterations or additions to or within the Premises, in such <br />amounts as Sublessor and Subtenant mutually agree is reasonable. <br />All insurance provided shall be underwritten by insurance companies that are licensed or authorized to <br />do business and in good standing in North Carolina and shall have a rating issued by an organization <br />regularly engaged in rating insurance companies (including specifically A.M. Best and Company so <br />long as such company is engaged in rating insurance companies) of not less than a rating of A, VII of <br />A.M. Best and Company (or equivalent rating if another rating service is used.) All insurance contracts <br />shall be issued for terms of not less than one year and shall contain a provision that they are not subject <br />to cancellation, non-renewal or material reduction in coverage as to the Premises unless Sublessor is <br />served with written notice not later than 30 days prior to cancellation, non-renewal or material reduction <br />m coverage. <br />15. Waiver of Subrogation. Subtenant for itself and its employees, agents and invitees waives any and <br />all rights to recover against Sublessor, its employees or agents or any other tenant or occupant of the <br />Building, for any loss or damage arising from any cause covered by any insurance required to be carried <br />by the parties pursuant to this Sublease or any other property insurance actually carried by the parties to <br />the extent of the limits of the policies. Subtenant, from time to time, will cause its insurers to issue <br />appropriate waiver of subrogation rights endorsements to all property insurance polices carried in <br />connection with the Land or the contents of the Building or the Premises. <br />16. Indemnification/Hold Harmless. Sublessor, its partners, representatives, agents, and their <br />respective officers and employees, shall not be liable to Subtenant, its officers, directors, shareholders, <br />agents, servants, employees, customers or invitees, for any damage to person or property (including <br />without limitation death or disfigurement) occurring on the Land caused by or attributable to any act, <br />omission or neglect of Subtenant or its agents, employees or invitees. Subtenant agrees to indemnify <br />and hold harmless Sublessor from all damages, claims, costs and expenses (including without limitation, <br />attorney's fees and other legal costs) as they are incurred and finally awarded, arising out of or in any <br />Page 4 of 9 <br />F-5 A~~~~9~ number 1 <br />